Services refer to the labor, time, or effort that a supplier furnishes as performance for separate consideration and not labor, time, or effort included in or incident to the production or sale of a commodity.
The following types of contracts are excluded from being considered a contract requiring services
Technical and General Services
Technical and general services include work involving time, labor, and a degree of expertise, where performance is evaluated based upon the quality of the work and the results produced, or work performed to meet a demand, especially work of a recurring nature that does not necessarily require special skills or extensive training. TGS contracts specify the performance standards expected in the rendering of services.
Examples include, but are not limited to: delivery of standard training programs, data entry, transport service, actuary service, collection service, certain repair services, translation (interpreter) services, janitorial service, guard service, pest control, lawn care service, and waste disposal services.
Professional and Consulting Services (PCS)
Professional services are services where the contract specifies the performance standards expected from the rendering of the services, rather than detailing the manner in which the services shall be rendered.
Such services are generally acquired to obtain information, advice, counsel, or direct assistance. Under such a contract, the university would have no direct managerial control over the day-to-day activities of the contractor providing the service.
Examples include, but are not limited to, attorneys, architects, accountants, engineers, physicians, and technology experts.
Legislative Review and Reporting for Services
A contract for services shall be reported if the total initial contract amount is at least twenty-five thousand dollars ($25,000) but less than an annual contract amount of fifty thousand dollars ($50,000) in any one (1) contract year or a total projected contract amount is less than three hundred fifty thousand dollars ($350,000).
A contract requiring the services of one (1) or more persons shall be presented to the Legislative Council if the annual contract amount is at least fifty thousand dollars ($50,000) in any one (1) contract year or if the total projected contract amount, including any amendments or possible extensions, is at least three hundred fifty thousand dollars ($350,000).
Material Change includes:
Note: An agency may elect to submit a contract for review if it is uncertain whether the contract has a material change.
Required Forms and Supporting Documents for Service Contracts:
Services over $25,000 must comply with Act 557 standards and reporting. The following additional documents may also be required. View the OSP Checklist for Service Contract Submissions for more information.